#accounting problems

Keeping accounting tasks fresh and evenly distributed doesn’t have to be a headache!

With Suvit, rotating duties within your team become easy, efficient, and transparent.

Here’s how Suvit helps:

1️⃣ Custom Role Management: Assign tasks like GST reconciliation or report generation with tailor-made roles. Edit and adapt roles as your team rotates responsibilities! 🛠️

2️⃣ Detailed User Reports: Get a clear picture of who’s doing what with module-wise insights. Perfect for tracking performance and balancing workloads! 📊

3️⃣ Activity Logs for Accountability: Keep an eye on actions taken by each user. Transparency and trust? Check! ✅

Suvit takes the guesswork out of task rotations, ensuring smooth transitions and a well-balanced workflow for your accounting team.

Want to dive deeper into these features?

👉 Read the full blog here.

Accounting firms often face recurring challenges that drain time, resources, and efficiency.

Among these, four stand out as particularly troublesome: manual processes, data inaccuracies, high costs, and inefficient workflows.

Manual Processes: Tasks like data entry and account reconciliation are time-consuming and error-prone. Automation tools, such as Suvit, streamline these operations, ensuring speed and accuracy.

Data Inaccuracies: Inconsistent financial data can harm a firm’s reputation and lead to compliance issues. Automation minimizes errors by cross-checking records and flagging discrepancies, enabling accurate reporting.

High Costs: Staffing and overhead expenses for repetitive tasks can limit profitability. Automation optimizes costs by handling routine work without requiring additional hires, making it easier to scale operations.

Inefficient Workflows: Delays caused by poor communication and disorganized workflows frustrate both teams and clients. Automated platforms like Suvit simplify workflows, offering real-time updates and centralized document management.

Automation transforms accounting firms' operations by increasing efficiency, improving data accuracy, reducing costs, and delivering better client experiences.

Common Accounting Problems Businesses Face ( and their solutions)

Accounts payable invoice processing is one of the more challenging aspects of running a business. But it remains an essential one for every organization.

In the absence of a well-run accounts payable process, bills might not get paid on time, supplier relationships are jeopardized, late penalties and other fees may be assessed, and your credit rating could even be impaired.

To be sure your accounts payable processing is running smoothly, take stock of whether you may inadvertently be committing any of the most frequently made mistakes that plague businesses.

Without further ado, here are eight common accounts payable errors:

Mistake #1 — Double payment

Double payments can occur for a number of reasons, but most are related to manual data entry. Inconsistencies in manually entered invoice amounts, supplier information or even coding can cause a single invoice to be paid twice.

Also, sometimes vendors send a second invoice for the same amount owed, especially if their first invoice wasn’t processed immediately. With two invoices floating around the office, it’s easy to pay them both accidentally.

Mistake #2 — Data entry errors

This is one of the most pervasive and significant mistakes to transpire in accounts payable invoice processing.

When a business has a system that requires manual data entry to pay invoices or create purchase orders, data entry errors like entering information in the wrong field, transposing numbers or missing a decimal are inevitable.

Mistake #3 — Nonclosure of paid purchase orders

After a company cuts a check for payment on receipt of the invoice and goods or services ordered, it’s essential that the accounts payable department close the purchase order. But sometimes, AP forgets to do so and risks issuing a payment more than once.

Mistake #4 — Batch-entering your invoices

With lots and lots of invoices to process, the temptation to process them as a batch may arise. While this approach certainly has its time-saving benefits, it is not without drawbacks.

There is a reason that invoices are best processed one at a time — to create a robust audit trail.

Mistake #5 — Paying invoices before delivery

Overloaded with work, busy accounts payable staff may accidentally pay invoices when they arrive, without checking first that the goods were actually delivered, or if delivered, that they were in the expected condition.

Although paying bills before time may help earn discounts from suppliers, it’s not always a good idea, particularly if the supplier is new.

Mistake #6 — Disappearing invoices

It’s all too easy for invoices in a manual processing system to disappear in a flurry of paperwork and end up going unpaid.

In addition to creating friction with suppliers, an unpaid invoice can cause serious accounting problems. The liability hits the balance sheet late and the expense goes missing from the current income statement, leaving management with incorrect information about the company’s financial position.

Mistake #7 — Unauthorized purchases

Manual processes in accounts payable can exacerbate the problem of unauthorized purchases. There may be cases where employees make without an approved purchase order or instances of inappropriate use of business credit cards or buying from unauthorized suppliers.

Such unauthorized purchases can wreck the business’s most carefully planned budgeting system.

Mistake #8 — Exception invoices

Not all invoices can be processed the same way. There are always going to be some nonstandard invoices or documents with discrepancies such as incorrect, incomplete or nonmatching information.

Handling such exception invoices takes extra time, and it may so happen that the team processes them without reconciling the discrepancies.

First question: “Do you ever have doubts?”

I DO HAVE A LOT OF DOUBTS.

Even up to this point. 

To be honest, I also think it’s not for me and I’m not smart enough (believe me when I say I failed a lot of subjects). Even now I’m almost graduating, I’m still really scared. I have this subject which I really have a bad score for midterms, and there’s only 2 days left before finals. I’m close to jumping off a cliff. (Don’t worry I’m not going to do that.) I’m also afraid that no firm would want me for my bad grades. But, I still hold on to the fact that the CPA license is superior than your transcript of records. 

Though in terms of communication and being confident at work, I can fake it. I’m also a not-so-social person. But like for example, in school, when we have reports I can make myself confident (even if I’m not, and actually there are things that I don’t know in the report but I act as if I know it; in that way people will believe in you)

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I’d like to share this story of my friend who passed the CPA board exam late last year. After passing the board exam, she took a vacation and only applied to firms at the start of 2019. She was hired by a BIG4 Accounting firm. She’s introvert and she was just starting her job when she told me “I want to quit”. 

Why? She told me that there are discussions that felt like “class recitations” and she’s not as confident as the others. Also, English is not our first language (as we are from Asia) and somehow she’s not confident enough to speak the language (discussions were in English)

I was also worried about her since she kept on saying that she’ll only stay within the probationary period and planning to move to a private company. 

After the busy season, I asked her again what’s her plan and she told me that she’s going to stay with the firm. So I asked again why.

She told me that life in the firm is difficult, it feels like a roller coaster ride but at the end of the day, you’ll learn how to handle things on your own and also you will also earn more knowledge about the profession there.

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Second question: “How can we overcome it?”

You cannot fully erase your doubts. It’s normal. But for me, experience is the best teacher. I can manage to brush it off because I’m tired of doubting myself. (The only doubt you need to calculate if Doubtful Accounts Expense, kidding) 

When there are times where my anxiety is at peak, I try to remember 3 things:

1. Pray, Hope and Don’t Worry

2. Law of Attraction

You are what you believe you are

3. Let fate take its toll

You shouldn’t worry about the things that are not happening yet. Just do what you need to do at the moment.